Boy, was I wrong here. The results look strong, the new credit agreement makes more sense, and the dividend was a smart move. I would hope they get hit with a fine on Reg FD violations but it's not going to effect operations.

First, its controller was duped by an email phishing scam. The controller wired money as directed by a phony email despite the fact that company policy required two signatures for such wire transfers—and despite the fact that the party the controller paid wasn’t on the company’s vendor list.

Second, the company neglected to disclose to the auditors its close relationship with a business “entity” that shared its address and performed research and development at its direction. The entity was not included in the company’s financial statements until auditors raised the issue, he wrote. (Keeping the entity off the company’s books would have reduced the company’s reported expenses, Botta explained to POGO.)

Third, as Botta reported, the company apparently failed to notice that, when it sold a shipment of products, the buyer had a contractual right to return thousands of them. (That could affect the company’s ability to record revenue from the sale, Botta clarified for POGO.)

Botta told the SEC that he proposed stating in PwC’s audit report that the company had “a material weakness” in “the skill and competence of the finance department.” Botta wrote that, in response, he “was put under significant pressure” by superiors at PwC and was told that if he pursued that path, it was unlikely he would be promoted to partner.

Schwab711, I read the complaint the article refers to a few months ago. If I recall correctly, two of the four anonymous companies cited could've been Ubiquiti, but it wasn't clear either was. I hope the SEC does find something, that'll give me (and Pera's buybacks) another entry point. I haven't had a position since I sold my calls in July.

It seems like tariffs are the next major catalyst. Unfortunately they're something I'm completely unfamiliar with.